The Ascent with Crestmont Private Wealth - Alec Walker 6-13-26

Alec Walker covers three main topics:   Portfolio Rebalance — Crestmont recently completed a rebalance of their 7 core globally diversified portfolios (conservative to ultra-aggressive, primarily low-cost ETFs). He explains their policy → strategy → tactics framework:   Policy: Threshold-based rebalancing (not calendar-based) when allocations drift outside target ranges Strategy: Tax-aware approach — IRA accounts taken back to target with no tax impact; taxable accounts handled more conservatively Tactics: Equity exposure trimmed 2–6% depending on drift; one passive fund replaced with an active ETF in the same asset class Context: Vanguard research shows rebalanced portfolios have ~20% lower volatility historically Market Concentration & Diversification — Over 40% of the S&P 500 is concentrated in the top 10 companies. Post-rebalance, client portfolios are ~25% in those top 10. Diversification has paid off in 2025: S&P 493 up 11% YTD vs. Mag Seven up 3%; small cap outperforming by 7–8%; international developed markets up 3%+ above S&P 500.   SpaceX IPO — Clients have been asking about it. Crestmont will not be facilitating participation due to fiduciary/compliance considerations. Key points: S&P 500 has announced it won't fast-track SpaceX into the index; due to low float, SpaceX would likely represent only ~0.2% of the index even if added; high valuation relative to current financials, but short-term pop is expected.   Timeline Time     Topic 0:00     Intro — Who Alec is, overview of Crestmont's holistic wealth management services 0:49     Investment committee overview; quarterly rebalance of 7 core portfolios 1:22     What a rebalance means; threshold-based approach explained 1:50     Policy → Strategy → Tactics framework introduced 3:06     Rebalance strategy details: threshold-based, not calendar-based 3:48     Tax-aware strategy: separating taxable vs. IRA accounts 4:36     Vanguard research: rebalanced portfolios have ~20% lower volatility 4:58     Tactics: equity trimmed 2–6%; fund swap (passive → active ETF) 5:52     Tax implications perspective for all investors; low turnover philosophy 7:01     Example: $1M account, $25K gains → $5,950 tax = 0.6% of portfolio 7:54     S&P 500 up 8% YTD, 24% over 12 months — contextualizing the 0.6% tax cost 8:41     Rebalance wrap-up; transition to market concentration topic 9:03     S&P 500 concentration: 40%+ in top 10; portfolios now at ~25% in top 10 9:21     Diversification performance: S&P 493, small cap, international markets all outperforming Mag Seven 10:09  SpaceX IPO — client questions; Crestmont not facilitating participation 10:35  FOMO vs. risks; S&P 500 rule changes; "holding the bag" concern 11:11  S&P won't allow quick entry; SpaceX projected at 2–5% weight (market cap), but only ~0.2% adjusted for float 12:45  IPO valuation high vs. fundamentals; short-term pop expected; subject to quarterly earnings going forward 13:30  Closing remarks + Spurs shoutout Original Air Date: June 13, 2026 at 8:30am as heard on Boerne Radio 103.9FM Contact:  www.crestmontpw.com  Alec Walker in Houston:  831-280-5288  Sam McGee in Boerne: 830-368-2898See omnystudio.com/listener for privacy information.